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A manufacturing company accumulates the following data on fixed overhead: Actual cost incurred: $21,000; Budgeted: $20,000; Applied fixed overhead: $24,000. The fixed overhead volume variance is:

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Answer:

$4,000F

Explanation:

Calculation to determine what The fixed overhead volume variance is:

Using this formula

Fixed overhead volume variance= Budgeted - Applied fixed overhead

Let plug in the formula

Fixed overhead volume variance=$20,000-$24,000

Fixed overhead volume variance=$4,000F

Therefore The fixed overhead volume variance is:$4,000F

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